Why Bonds

Date: August 8, 2017

  • A bond typically pays regular coupon (interest) to customers based on a fixed schedule.
  • Subject to issuer risk, a bond will return the principal back to the customer at maturity.
  • A bond has varied tenor (from anything as short as a few weeks to as long as 30 years), so an investor should be able to find a bond that suits his investment horizon.